From Yahoo Finance: 2025-05-01 08:43:00

Nvidia stock surged 4.9% premarket after Meta and Microsoft announced increased AI investments. AMD and Broadcom also rose. Nvidia supplier Micron climbed 2.9%. Meta raised its 2025 capex outlook to $64-$72B, Microsoft reiterated its $80B spending plan. Microsoft’s CFO confirmed AI investment growth for 2026. Big Tech is set to invest over $330B in AI this year.

Investors were relieved by Meta and Microsoft’s commitment to AI investments, boosting Nvidia stock. Microsoft’s Intelligent Cloud segment, including AI, rose 21% to nearly $27B. Meta saw a 6.5% premarket rise, Microsoft jumped 9%. Nvidia’s gain helped offset YTD losses, down 19%. Nvidia stock was rated as a rare Sell by Seaport analysts. President Trump’s trade policies may impact Nvidia’s business abroad, prompting CEO Jensen Huang to call for rule changes.

Read more: Nvidia stock rises to lead chip rally after Meta, Microsoft back AI investment plans